All Forum Posts by: Paul Moore

Hi @Andrey Y.. Like others, I congratulate you on a great investment. Did you make a decision yet? I know the 7/15 1031 deadline is looming. A Delaware Statutory Trust (DST) is certainly a good alternative if you are out of time (or even if not).

@Avery Robertson you got some great replies here. What happened with this transaction? I agree that doing a 1031 into a DST (Delaware Statutory Trust) is a great way to defer capital gains and enjoy hands-off income and appreciation. But as a few above have stated, there is often a heavy fee-load with these products. There are a few direct DSTs that can be acquired straight from the operator/syndicator that have no 3rd party fees. I would recommend you find one of those. I am involved in one like that now.

I wonder if a Delaware Statutory Trust (DST) would help you do this? @Dave Foster what do you think? 

Hi @Wes Eaves.  Scott Meyers has a mastermind of self-storage syndicators who often come up with off-market deals.  You may also want to check with James MacAndrew - he has several off-market self-storage deals and I think one of them is in Florida. You can PM me for his contact info if you can't find him here.  

Great conversation. Just throwing this in... investing into and out of a Delaware Statutory Trust (DST) is a way to use the 1031 exchange into and out of an entity (replace LLC with DST). I'm learned that this is a great way to achieve the passive investment opportunity without the stress and problems of a TIC structure.

@Jen Bastian.  When we review a market, one of the main things we look for is positive net population migration. Without that, you may be shining silverware on the Titanic.  As @Brandon Cravens said, I would also be wary of the septic system.  

You may want to check with Tim Henderson as I know he has a few potential MHP deals available off-market.  

@Robert Yarborough. Welcome to BP! I imagine you want to be actively involved in investing. But if you decide to stay passive, and still get the tax benefits and income of ownership, I believe you could do a 1031 exchange to cover your likely stepped-up basis, then invest the proceeds into a Delaware Statutory Trust (DST). This would allow you to shield taxes, obtain income and appreciation, and have the asset fully managed by a professional. A win-win for many investors.

Keep in mind there is the "defer 'till you drop" strategy as well.  You can continually do 1031 exchanges until death and the basis resets to current market value.  Great for your heirs!  

At some point in the process, when you are tired of managing rentals, you can consider a Delaware Statutory Trust (DST), which is a way to do a fractional 1031 exchange with other investors. You'll maintain your tax exemption and have someone else do the heavy lifting of acquisition, property management, and operations while you receive the income and growth. It's a beautiful thing!

You know there may be some Airbnb operators who are in trouble now and ready to ditch their furnished units.  This may be a great time to find an existing deal rather than going through the hassle of starting from scratch.  And you could help them in the process.  

Thanks @Steve S.   This is a very well-done explanation of the comparison between the two.